Tesla Says it Plans Capex of Around $8B in US This Fiscal Year - Bloomberg

Tesla Says it Plans Capex of Around $8B in US This Fiscal Year - Bloomberg

Tesla Inc. (TSLA) has disclosed plans to invest approximately $8 billion in capital expenditures (Capex) in the United States during the current fiscal year. This significant investment is aimed at bolstering the company's manufacturing and research and development (R&D) capabilities, positioning itself for future growth and innovation. The announcement comes amidst a backdrop of increasing regulatory scrutiny and market competition in the electric vehicle (EV) sector.

Tesla's latest Capex figures, as reported by FinanceCharts.com [1], indicate that the company has been consistently increasing its capital expenditures over the past several years. For instance, the company's Capex for the period ending December 31, 2024, was $2.78 billion, representing a 20.50% increase from the same period in 2023. This trend reflects Tesla's commitment to expanding its production capacity and enhancing its technology portfolio.

The company's plans for the current fiscal year include investments in its manufacturing facilities, particularly in the United States. These investments are expected to support the production of its Model Y vehicles and other new models, as well as the rollout of its autonomous driving technology. Additionally, Tesla plans to begin production of its dedicated robotaxi model, the Cybercab, sometime next year, as highlighted in a recent report by Wedbush [2].

Analysts at Wedbush have noted that Tesla's push into robotaxi services could be a game-changer, potentially adding $1 trillion to the company's valuation. The firm has maintained an Outperform rating and a $500 price target for TSLA, citing the company's global reach and progress in artificial intelligence and driverless technology.

Tesla's strategic investments in Capex are crucial for maintaining its competitive edge in the EV market. The company's ability to scale its operations and innovate quickly will be vital in navigating the challenges posed by increasing regulatory scrutiny and market competition. As Tesla continues to expand its manufacturing footprint and invest in cutting-edge technology, investors will be closely watching its financial performance and the impact of these investments on the company's bottom line.

References:
[1] https://www.financecharts.com/stocks/TSLA/cash-flow/capital-expenditures
[2] https://www.tradingview.com/news/gurufocus:0799ed417094b:0-tesla-robotaxi-push-could-be-a-1-trillion-game-changer-wedbush-says/